BerkshireHathaway Inc.-owned National Indemnity Co. will acquire in a deal that would convert the New York-based insurer from a mutual companyto a stock company.
Medical Liability Mutual agreed to complete themutual-to-stock conversion ahead of finalizing its sale to National Indemnity. Thedeal, which still requires regulatory and policyholder approvals, is expectedto close in the third quarter of 2017.
The planned acquisition comes amid Berkshire Hathaway'sexpansion in themedical professional liability space. In a statement, Chairman and CEO WarrenBuffett called Medical Liability Mutual a "gem" that would expand itsproducts and services once the deal brings it under the Berkshire umbrella.
Keefe Bruyette & Woods served as Medical Liability Mutual'sfinancial adviser, while Willkie Farr & Gallagher LLP was its legalcounsel.